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[Prefer to listen? You can find a podcast version of this article here: E255: 3 Ways to Improve Your Tax Filing Process Next Year]

Tax season can feel overwhelming, especially when you’re scrambling to pull everything together at the last minute. Whether you file your own taxes or work with a tax professional, an organized approach can help reduce stress and improve your outcome.

If this year’s filing process felt more chaotic than you’d like, now is the perfect time to start building better habits for next year. These three practical strategies can make a significant difference in how smoothly tax time goes.

Don’t Wait Until the Last Minute

It’s tempting to put off your taxes, especially if the process feels stressful or confusing. But waiting until the deadline approaches can lead to rushed decisions, overlooked deductions, and avoidable mistakes.

By starting early, you give yourself time to review your financials thoroughly. If you work with a tax professional, reaching out early in the season ensures they have ample time to give your return the attention it deserves.

It also opens the door for better planning. For example, you may identify opportunities to make retirement contributions or take other strategic actions before the filing deadline to reduce your tax liability. But those options are only available if you start early.

Make it a habit to schedule a tax prep session in January or February. You’ll likely avoid the rush and walk away feeling more confident about your filing.

Go Digital with Your Tax Documents

One of the biggest time-wasters during tax season is hunting down documents. You receive W-2s, 1099s, mortgage interest statements, charitable donation receipts, and other key records—often from multiple sources and in multiple formats.

Make next year easier by creating a digital filing system now.

Start by setting up a dedicated folder on your computer or in a secure cloud storage platform. As tax documents arrive (most are available in January), download each one in PDF format and save it to this folder. If you receive a paper copy, scan it and add it to the same location.

Keep everything labeled clearly with the year and the type of document—like “2024_1099_INT” or “2024_W2_EmployerName.” When it’s time to file, all your documents will be in one place, ready to upload to your tax software or send to your accountant.

This simple habit minimizes the last-minute scramble and ensures nothing important gets overlooked.

Review This Year’s Return While It’s Still Fresh

After your taxes are filed, it’s tempting to move on and not think about them again until next year. But this is actually the best time to do a quick review while everything is still fresh in your mind.

Take a look at what went well and what didn’t. Were there any surprises, like an unexpected tax bill or a larger-than-expected refund? Were there deductions you weren’t able to claim because you lacked documentation?

Use those insights to plan for the coming year.

For example, if you had a big tax bill due to underpayment, consider adjusting your withholdings or making estimated tax payments. If you missed deductions because you didn’t track expenses properly, now is the time to set up a better system for record-keeping.

You don’t need to do a deep audit—just a quick reflection to help you course-correct going forward.

Planning Ahead Can Make All the Difference

Improving your tax filing process doesn’t have to involve massive changes. Often, it’s the small, intentional steps that make the biggest difference. By starting early, going digital, and learning from the current year, you’ll reduce stress, save time, and put yourself in a stronger position next tax season.